Israel will not prosecute the soldier believed responsible for the death of documentary-maker James Miller in Gaza.
James Miller won numerous awards during his film-making career
Mr Miller, from Devon, was shot dead in 2003 at the age of 34, allegedly by a soldier in the Israeli Defence Forces.
Army officials said there was no proof the officer fired the fatal shot but he would be disciplined for apparently breaking the rules of engagement.
Relatives expressed "outrage" and accused the investigative and legal system of "failing to deliver".
Mr Miller's family said military prosecutor-general Avihai Mandelblitt told them there was no match between the fatal bullet and a weapon.
The soldier would be disciplined for changing his story during the course of the investigation, they said.
Mr Miller's sister Anne pledged to continue the action, saying the family would seek a judicial review of the decision not to prosecute and issue a civil action for wrongful killing.
'Virtual war zone'
Mr Miller's widow, Sophy, 33, said: "Nothing can express our outrage that, waiting for two years and putting our faith in a system which has now failed to deliver, we still have prosecutors who suspect and continue to suspect a commanding officer and who will only bring disciplinary measures because of an initial flawed investigative process.
"The truth will come out and we hope the Israeli judicial system will mete out justice.
"This investigation does not serve the IDF, decent Israeli citizens, us, his family, and, above all, James."
Mr Miller had been in the town of Rafah making a film about the effect of the Middle East conflict on Israeli and Palestinian children when he was shot.
His crew claim they were carrying a white flag and identified themselves as British media to IDF soldiers as they left a Palestinian house but were fired upon and a bullet struck Mr Miller in the neck.
The Israeli military police previously led an investigation into Mr Miller's death, but no criminal charges were brought.
The army has also expressed regret over the incident but pointed out that the Briton had "taken great risks by being in a virtual war zone".